Beijing is drafting separate rules to govern the mainland's venture-capital industry after dumping the sector from planned legislation on investment funds.
The fourth draft of laws on venture-capital funds was expected to be passed soon, said an official with Shenzhen Venture Capital, China's largest venture-capital fund.
Regulatory officials have been trying to submit a draft of the long-awaited Securities Investment Fund Law, only to be delayed by debates on whether they should cover venture capital, industrial investment and securities investment funds.
Only securities investment funds have been covered in the draft sent to the National People's Congress.
The remark came as the Shenzhen government-backed venture-capital firm yesterday agreed to form a 50:50 joint venture with Hong Kong-listed Softbank Investment International (Strategic) to invest in high-technology or high-growth mainland companies or projects.
The venture, Softbank SZVC Venture Capital Management, will have registered capital of US$2 million. The partners will jointly raise another 200 million yuan (about HK$187 million) for the joint venture.
Shenzhen Venture Capital will be responsible for fund-raising in the mainland while Softbank Investment raises the remainder overseas.